In 2018 the European Funds Recovery Initiative (EFRI) was founded by FinTelegram Investors Protection Ltd, the then operator of FinTelegram News, together with auditors and lawyers.
EFRI started out with the mission to be the advocate of aggrieved retail investors and support them in their fund recovery procedures with fraudulent providers of financial services, online trading, and investment. By May 2020, more than 1,500 defrauded investors had registered via the website www.efri.io. Of these, almost 800 have granted EFRI a Power of Attorney (POA) to recover their losses from the scammers and the banks, payment processors, and partners involved.
In recent months it has become increasingly clear that the EU has substantial structural shortcomings in the fight against cybercrime. This begins with the lack of uniform rules for the financial market supervisory authorities of the EU member states. Accordingly, financial market supervision is perceived with a completely different intensity and focus in the individual member states. There is no systematic and efficient coordination between the watchdogs of the different regulatory regimes. Finally, there are also no central and/or consolidated warning lists at the EU level.
Against this background, EFRI’s mission has been expanded to include cybercrime and investment scam prevention. This in turn means that EFRI also engages with regulators and policymakers to obtain the establishment of laws and regulatory measures to prevent cybercrime.
Cybercrime is a digital pandemic that can potentially infect anyone with Internet access. This pandemic must be combated by appropriate institutions and measures. This is the role of EFRI.